TaxTMI 
TaxTMI 
TaxTMI 
2025 (8) TMI 1695
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....the showcause issued under Section 74 of the WBGST /CGST Act, 2017 (hereinafter referred to as the "said Act") dated 3rd August 2024. The matter pertains to the petitioner availing bogus and ineligible Input Tax Credit (ITC) for which the above show-cause had been issued. 2. It is the petitioner's contention that the petitioner was not afforded with an opportunity to cross examine the truck drivers who had given their statements in the case. According to the petitioner though the statements of the truck drivers were made over to the petitioner, such truck drivers were not produced for cross examination. 3. Mr. Dasgupta, learned advocate appearing for the petitioner has, however, confined the challenge in the writ petition on the aforesaid....
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.... availed and utilized ITC on the basis of purchases which were allegedly received by the petitioner, though, in reality the entire transaction is fake. She has also taken me through the statements of the petitioner as recorded in the show cause notice. 6. Mr. Bhattacharya, learned advocate appearing for the respondent no. 5 submits that the petitioner was not only engaged in dubious process of evading tax but has also availed and utilised Input Tax Credit (ITC) on the basis of fake transaction and invoices through supplies made from fake entities. In this context, he has relied on paragraph 2.7 of the show cause notice. 7. Both Ms. Mukherjee and Mr. Bhattacharya jointly have submitted that in the facts of the instant case there was no que....
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.... premises was locked. Later, the petitioner had come forward and unlocked the flat, wherein few furniture were found. Accordingly, a panchnama was drawn. 9. On the same date, a search was also conducted at the place of business of the petitioner at around 10.35 hours when the said shop was found to be shuttered down and closed. At around 12.40 hours, one person namely, Koushik Dutta introduced himself as a staff of M/s Gift land and opened the shutter for the authorities. The authorities could not identify any documents or records or articles lying at the shop. Later, the petitioner informed that he had recently lost his father. However, he confirmed that he and his company had availed ITC from the list of companies which featured in the a....
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....mentally disturbed for the sudden mishap which happened to my family. Besides, I am in a financially very bad shape as after Covid 19, the business of my firm has gone down and for that huge financial constraint I am not in a regular business activity for the last two years which can be seen from my GSTR-1 and GSTR-3B return which I have been filing Nil continuously for the last two years almost. So, even if there arises a situation when I may be convinced that any tax liability may arise, I am financially handicapped to take care of any burden at this moment. 10. In response to a query from the Court, Mr. Dasgupta had submitted that the aforesaid statements had not been retracted by the petitioner at any stage. I find that apart from samp....
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.... with the ITC arising out of purchases and as such any correlation drawn in this regard in factually incorrect. Furthermore, eligibility for availing and utilizing ITC is clearly defined u/s 16 of the said act, which also says nothing regarding outward sale of a taxpayer. Thus, I find the taxpayer's submission in this regard to be factually erroneous and inadmissible. 11. From the above, it is crystal clear that the ITC availed by the petitioner under the said Act originates from purchases made by him. The outward sale made by the petitioner bears no relation with the ITC arising out of purchase and as such, there can be no question of correlating the same. 12. From a perusal of the aforesaid order, it would transpire that the proper o....